Back to ballot

Prop 37: Home loan program

Creates Loan Program for Middle-Income Buyers of Qualified New Homes

Initiative Statute. A state law that voters put on the ballot by signing petitions.

In plain English

Proposition 37 lets the California Housing Finance Agency sell up to $25 billion in revenue bonds. The money would fund down payment loans for newly built homes. Each loan would cover up to 17 percent of the price. Buyers must live in California and pay at least 3 percent down. Their income can be no more than double the typical income nearby. Homeowners' monthly payments would be designed to repay the bonds and cover program costs. The Legislative Analyst finds no direct state or local costs. Builders could choose to meet higher labor standards. In exchange, they would follow different construction defect rules. These rules generally aim to give builders more flexibility. Unknown factors include investor demand and whether more homes get built.

A YES VOTE MEANS

The state would create a new homebuying assistance program. The state could sell up to $25 billion in revenue bonds to fund the program. Bonds would be paid back by homeowners' payments on their home loans.

A NO VOTE MEANS

The state would not be required to create a new homebuying assistance program.

Official Spanish text from the California Official Voter Information Guide.

Source: official voter guide

Official ballot label

The exact words on your ballot. Tap to read.
CREATES LOAN PROGRAM FOR MIDDLE-INCOME BUYERS OF QUALIFIED NEW HOMES. INITIATIVE STATUTE. Authorizes $25 billion in bonds to offer eligible buyers fixed-rate mortgages for up to 17% of purchase price of a newly constructed home priced below about $1.5 million. Borrowers must be California residents, occupy the home, meet income limits, and pay at least 3% down. Bonds repaid by mortgage payments, not State. Fiscal Impact: No direct state or local costs.
Source: LA County Registrar, measures on the ballot

Official text in English. Read the official Spanish voter guide.

Official arguments

Written by supporters and opponents and printed in the official state voter guide, word for word. Arguments printed on this page are the opinions of the authors and have not been checked for accuracy by any official agency.

Official text in English. Read the official Spanish voter guide (PDF).

Argument for

By supportersSigned by Danny Curtin, Fiona Ma, and David West. Tap to read.

VOTE YES ON PROPOSITION 37: the California Middle- Class Homeownership & Family Home Construction Act. Proposition 37 creates affordable homeownership opportunities for working and middle-class Californians and encourages new home construction - with ZERO COST TO TAXPAYERS.

California has the second-worst homeownership rate in the nation; rising costs push homeownership further out of reach every year.

With the statewide median home price now exceeding $930,000, a traditional 20% down payment can require saving over $186,000 just to get in the door. Teachers, nurses, veterans, and firefighters work hard and pay their bills. They can afford monthly mortgage payments but are locked out of homeownership in the communities where they live and work because down payment requirements are too high.

Proposition 37 gives working and middle-class Californians a fair shot at homeownership.

KEEPING HOMEOWNERSHIP WITHIN REACH.

Prop. 37 is a practical solution. It makes consumer-friendly, low-interest downpayment assistance loans available to qualified California residents for purchasing a newly built home, with no cost to taxpayers.

This is not a handout. Homebuyers must qualify for a mortgage, meet income requirements, pay at least 3% down, occupy the home as their primary residence, make monthly payments, and fully repay their loans.

Prop. 37 is designed for renters, first-time homebuyers, and working families who earn too much to qualify for renter assistance programs, but not enough to save the massive down payment required to buy a home.

"Proposition 37 will boost homeownership without burdening taxpayers. As a state revenue bond, downpayment assistance loans are funded by private bond investors and repaid by home borrowers, not taxpayers." - Malia Cohen, California State Controller

BUILDS MORE HOMES, CREATES GOOD JOBS.

California hasn't built enough homes to keep up with demand. By helping qualified buyers purchase newly built homes, Prop. 37 will help accelerate construction, creating thousands of good-paying jobs and generating economic investment.

Expanding the housing supply helps workers and families to stay in California, build equity, raise their children, and live in the communities where they work.

ZERO COST TO TAXPAYERS.

Taxpayer advocates and California's Legislative Analyst agree: Proposition 37 has no cost to taxpayers. Loans are funded by private bond investors and repaid by home borrowers - not taxpayers.

STRICT ACCOUNTABILITY AND CONSUMER PROTECTIONS.

Prop. 37 includes fiscal accountability and transparency requirements, construction accountability standards, and annual audits detailing the status of loans made and the fund's financial condition.

Consumer benefits include below-market, fixed-rate loans, protections from unfair lending practices, strict limits on lender fees, and no penalty for early repayment.

BROAD, BIPARTISAN SUPPORT

Proposition 37 is supported by Democrats & Republicans, labor and businesses, construction workers, taxpayer and housing advocates, veterans, the California Teachers Association, and United Nurses Association of California.

For generations, homeownership provided stability, security, and a path to the middle class. But today, that path is simply out of reach for too many Californians. Proposition 37 is a practical solution that tackles one of the biggest barriers to homeownership, without burdening taxpayers.

Vote YES to expand middle-class homeownership, build more homes, create good jobs, and give working Californians a fair chance to live, work, raise a family, and stay in California.

VoteYeson37.com

Danny Curtin, Director
California Conference of Carpenters
Fiona Ma, Boardmember
California Housing Finance Agency (CalHFA)
David West, Chair
California State Commanders Veterans Council

Argument against

No argument against was filed.

Source: California Secretary of State, arguments and rebuttals, as of Oct 15, 2026

Where groups stand

Every group on our list, by category. Each position links to the group's own published guide.

Label definitions Quotes are each group's own words, copied exactly.

Political parties

10 groups

State and county parties are separate groups and can take different positions.

News outlets

5 groups

These are the only news outlets we found with published endorsements for this election. Suggest another.

Labor

9 groups

Business

3 groups

Civic and good government

1 group

Issue and advocacy groups

3 groups

About the summary

Summary drafted with AI from the official analysis and checked against it by automated review. Read the official analysis

Back to the summary

Submit a suggestion

Suggest a group to add, a measure we are missing, or a correction. We read every one.

What are you suggesting?